Cotton White, Incorporated, makes specialty clothing for chefs. The company reported the following costs for the current year. Factory rent Company advertising Wages paid to sewing personnel Depreciation on salespersons' vehicles Thread Utilities for factory Cutting room supervisor's salary President's salary Premium quality cotton material Buttons Factory insurance Depreciation on sewing machines Wages paid to cutters Required: 1. Compute the cost of direct materials for Cotton White. 2. Compute the cost of direct labor for Cotton White. $ 42,000 18,000 75,000 25,000 1,000 22,000 30,000 75,000 42,000 750 15,000 6,000 50,000 3. Compute the cost of manufacturing overhead for Cotton White. 4. Compute the total manufacturing cost for Cotton White. 5. Compute the prime cost for Cotton White. 6. Compute the conversion cost for Cotton White. 7. Compute the total period cost for Cotton White.

Cotton White, Incorporated, makes specialty clothing for chefs. The company reported the following costs for the current year. Factory rent Company advertising Wages paid to sewing personnel Depreciation on salespersons' vehicles Thread Utilities for factory Cutting room supervisor's salary President's salary Premium quality cotton material Buttons Factory insurance Depreciation on sewing machines Wages paid to cutters Required: 1. Compute the cost of direct materials for Cotton White. 2. Compute the cost of direct labor for Cotton White. $ 42,000 18,000 75,000 25,000 1,000 22,000 30,000 75,000 42,000 750 15,000 6,000 50,000 3. Compute the cost of manufacturing overhead for Cotton White. 4. Compute the total manufacturing cost for Cotton White. 5. Compute the prime cost for Cotton White. 6. Compute the conversion cost for Cotton White. 7. Compute the total period cost for Cotton White.

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter2: Accounting For Materials

Section: Chapter Questions

Problem 15E: Kenkel, Ltd. uses backflush costing to account for its manufacturing costs. The trigger points are...

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Concept explainers

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.

Question

Cotton White, Incorporated, makes specialty clothing for chefs. The company reported the following costs for the current year.
Factory rent
Company advertising
Wages paid to sewing personnel
Depreciation on salespersons' vehicles.
Thread
Utilities for factory
Cutting room supervisor's salary
President's salary
Premium quality cotton material
Buttons
Factory insurance
Depreciation on sewing machines
Wages paid to cutters
Required:
1. Compute the cost of direct materials for Cotton White.
2. Compute the cost of direct labor for Cotton White.
$ 42,000
18,000
75,000
25,000
1,000
22,000
30,000
75,000
42,000
750
15,000
6,000
50,000
3. Compute the cost of manufacturing overhead for Cotton White.
4. Compute the total manufacturing cost for Cotton White.
5. Compute the prime cost for Cotton White.
6. Compute the conversion cost for Cotton White.
7. Compute the total period cost for Cotton White.

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